FY2015. For personal use only. Full Year Results

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1 2015 For personal use only Full Year Results Create Build Operate Global Minerals

Message from the Board & Executive GROUP Group PERFORMANCE Performance Our NPAT for 2015 is a solid performance and testament of a sound strategy in difficult market conditions, which have beset many

9 EBIT % Margins (underlying) 2 6.7% 1.1% By remaining focused on efficiently delivering solutions to our clients, Sedgman will continue to perform in the near term and beyond.

5 cps, provides shareholders with a very attractive yield at a time of unusually low interest rates.

introduce a series of fully franked special dividends. The first fully franked special dividend will be 2.2 cps. This will be paid together with the 3.8 cps final dividend for the fiscal year 2015.

2 Message from the Board & Executive GROUP Group PERFORMANCE Performance Our NPAT for 2015 is a solid performance and testament of a sound strategy in difficult market conditions, which have beset many service providers to the minerals sector. ($million) Combined Revenue EBITDA (underlying) EBITDA % Margins (underlying) 2 9.4% 5.4% EBIT (underlying) EBIT % Margins (underlying) 2 6.7% 1.1% By remaining focused on efficiently delivering solutions to our clients, Sedgman will continue to perform in the near term and beyond. Consistent with the previously announced dividend plan, the Sedgman Board has approved the payment of a fully franked 3.8 cps final dividend. This, together with a fully franked interim dividend of 3.5 cps, provides shareholders with a very attractive yield at a time of unusually low interest rates. As a further part of an enhanced capital management plan, the Company s expected performance, its strong and debt free balance sheet and accumulated franking credit account allow the Board to introduce a series of fully franked special dividends. The first fully franked special dividend will be 2.2 cps. This will be paid together with the 3.8 cps final dividend for the fiscal year Full marks to the Sedgman team. Rob McDonald Chairman, Independent Director NPAT (reported) 16.5 ( 7.7 ) NOTES: 1. THIS REPRESENTS REVENUE OF SEDGMAN TOGETHER WITH SEDGMAN S SHARE OF REVENUES FROM JOINT VENTURES. 2. EXCLUDES IMPAIRMENT OF OPERATIONS ASSETS $2.3M PRE-TAX, REDUNDANCY COSTS $1.7M PRE-TAX AND TAX ON EQUITY ACCOUNTED JOINT VENTURE PROFITS $0.7M. PROJECTS Revenue increased as a number of significant EPC Projects progressed, compared to lower activity in EBIT % margin increased due to higher utilisation of Projects staff, settlement of a contractual claim, lower business costs and the recovery of previously impaired debtors. OPERATIONS The 2015 full year results provide the third continuous half of strong profitability and delivery of sustained earnings through performance. We have strengthened our Order Book and improved our Pipeline with good visibility of future opportunities in both Projects and Operations. We have successfully differentiated ourselves from our peers in a challenging market through a relentless focus on delivering Value for our clients and reducing cost. Our commodity and geographic diversification continues to strengthen the business, and our track record of successful Project delivery and Operations performance is more relevant than ever. With a very clear strategy and focus on performance across all aspects of the business we are well positioned to continue to deliver for our clients and shareholders. Revenue decreased as a number of operating sites managed on behalf of clients for part of 2014 were transitioned back to owner operation. EBIT % margin increased due to a focus on cost control and the continuous improvement in operating performance at all sites. Tonnages increased across a number of sites as clients took advantage of superior plant availability. DELIVERING ON DIVERSIFICATION 1 YEAR PIPELINE 60% 40% 60% 40% Peter Watson CEO I Managing Director Coal Other commodities Domestic International

3 2015 Highlights 315% 315% 10% 18% Increase in net profit after tax (reported) Increase in reported earnings per share Increase in combined sales revenue Decrease in overhead & support costs 109M 318% 125M 292M Net cash position at year end Increase in net cash from operating activities Awarded $125m in extensions to Operations contracts Awarded $292m in Projects contracts Summary Financial Information ($million) Movement in Underlying EBIT Combined Revenue EBIT (underlying) EBIT % Margin (underlying) 2 6.7% 1.1% 20 NPAT (underlying) ( 0.0 ) NPAT (reported) 16.5 ( 7.7 ) 15 EPS (underlying) 2 (cps) 8.5 ( 0.0 ) EPS (reported) (cps) 7.3 ( 3.4) 10 DPS (cps) NOTES: 1. THIS REPRESENTS REVENUE OF SEDGMAN TOGETHER WITH SEDGMAN S SHARE OF REVENUES FROM JOINT VENTURES. 2. EXCLUDES IMPAIRMENT OF OPERATIONS ASSETS $2.3M PRE-TAX, REDUNDANCY COSTS $1.7M PRE- TAX, AND ALSO FOR EBIT (UNDERLYING) TAX ON EQUITY ACCOUNTED JOINT VENTURE PROFITS $0.7M. Underlying EBIT 2014 Increase in Projects Increase in Operations Underlying EBIT 2015 NPBT & Group Overheads as % of Revenue Average TSR Ranking vs Peer Group 1st NPBT NPBT % of Revenue Group Overheads % of Revenue 10th 20th June 10 June 11 June 12 June 13 June 14 June 15

4 Safety Performance Our first priority is safety and Sedgman is committed to improving our safety performance. 27% 1.5M 719 ZERO Reduction in Recordable Injury Frequency Rate Aurora Project 1.5 million hours Lost Time Injury free Red Mountain Operations achieved 719 days Recordable Injury free Operations achieved zero injuries for 30,000 manhours of major shutdown work Order Book & Pipeline Order book at June 2015 totals $509m. This is up from $385m at June PROJECTS $188M Executable over 12 months OPERATIONS $321M Contract terms range from 1 to 10 years $1.6bn $1.9bn $2.7bn $3.1bn 1 year pipeline Projects order book Operations order book OWNERSHIP OF THE VISTA PROJECT IN CANADA CHANGED DURING THE YEAR AND WILL NOT PROCEED AS PREVIOUSLY PLANNED. THIS DOES NOT AFFECT THE 1 YEAR PIPELINE. Dec 13 June 14 Dec 14 June 15 Business Unit Performance ($million) Combined Revenue 1 Projects Operations Total EBIT (underlying) 2 Projects 13.8 ( 7.2) Operations Total EBIT % Margins (underlying) 2 Projects 5.0% ( 3.3% ) Operations 11.2% 8.3% Total 6.7% 1.1% NOTES: 1. THIS REPRESENTS REVENUE OF SEDGMAN TOGETHER WITH SEDGMAN S SHARE OF REVENUES FROM JOINT VENTURES. 2. EXCLUDES IMPAIRMENT OF OPERATIONS ASSETS $2.3M PRE-TAX, REDUNDANCY COSTS $1.7M PRE-TAX AND TAX ON EQUITY ACCOUNTED JOINT VENTURE PROFITS $0.7M. Outlook Current subdued market conditions continue to present suitable scale opportunities that require delivery assurance on cost, time and facility performance. Sedgman s 36 year track record in delivering projects, with over 25 years experience in EPC, provides our clients with this certainty. Sedgman s strategic focus targeting the global minerals sector, coupled with our strong balance sheet, allow us to identify and create opportunities which will deliver value for our clients and shareholders. Our secured Projects and Operations order book, together with a number of near term opportunities and a continued focus on controlling overheads, give us confidence in our capability to deliver sustained earnings in 2016.

Strategy Operations Integrated Client Services Infrastructure Consulting and Design Our Core Business Global Minerals Opportunity Origination Knowledge Leverage and Opportunity Creation Corporate

Culture Technology Development Client Focus Low Cost Sourcing.

5 Strategy Operations Integrated Client Services Infrastructure Consulting and Design Our Core Business Global Minerals Opportunity Origination Knowledge Leverage and Opportunity Creation Corporate Capital Management and Corporate Development Create Resource Engineering Associated Infrastructure Build Project Delivery EPC Delivery Capability Operate Asset Optimisation Value Add Performance Culture Technology Development Client Focus Low Cost Sourcing. Projects Strategy in Action - Aurora Gold Project Sedgman is nearing completion of the fixed price Engineering, Procurement and Construction (EPC) of the gold processing facility for Guyana Goldfield s flagship Aurora Project. Delivered through the GSJV, a joint venture between Sedgman and leading South American constructor Graña y Montero (GyM), the GSJV combines Sedgman s robust process execution knowledge and operational experience with local capability depth from GyM. It s an excellent example of Sedgman s ability to form successful joint ventures and utilise this model to win and perform work in new regions. Aurora is earmarked to produce 3.29 million ounces of gold, averaging 194,000 ounces per year, over an initial 17-year mine life. The scope of works includes a 1.75 Mt/a processing plant (upgradable to 3.5 Mt/a), a power station and integration management. Following a challenging 12 months on site, first gold production was achieved due to the flexible circuit design allowing the gravity and saprolite circuits to be commissioned early. Initial start-up gold was captured by processing the early low grade mine development ore. The logistical challenges and remote tropical environment tested the team; however, extensive planning, local engagement and client collaboration ensured a positive outcome. The project achieved the first completion milestone of delivering the Gravity Circuit in early July, with overall completion on track with the approved schedule. Final commissioning is progressing well, with performance testing due to commence on time. We have designed, procured and installed more than 100 km of cable, 4000 m³ of concrete, 1200 t of structural steel and platework, eight 1.5 MW generators, a 600 t SAG Mill, as well as a myriad of other equipment items and materials, into the middle of the Amazon jungle in Guyana. The GSJV has provided full process performance guarantees in a new location. We have utilised proven technology and robust commercial management together with local experience to deliver the project on time, on budget and safely. Over 1.5 million hours have been completed with zero lost time injuries. This successful result has led to a strong relationship with the client and stakeholders.

Operations Optimal Run Times Increase Availability Maximise Recovery Elevate Workforce Efficiency Unit Cost Reductions Our Operate business is focused on delivering value through achieving industry

6 Operations Optimal Run Times Increase Availability Maximise Recovery Elevate Workforce Efficiency Unit Cost Reductions Our Operate business is focused on delivering value through achieving industry leading facility performance metrics in areas such as annual run hours, process efficiency, operating costs and safety. We strive to achieve the highest quartile productivity metrics coupled with the lowest quartile unit operating costs. The operational results achieved in 2015 demonstrate this strategy in action. A lean operational team supported by effective operating systems and a class leading off-site support team enable us to achieve cost and productivity objectives. Production targets were exceeded at all coal and metals operations sites. Sedgman operated Coal Handling and Preparation Plants (CHPPs) delivered industry leading performance in 2015 averaging 7760 actual run hours. Strategy in Action - Red Mountain Red Mountain CHPP is an excellent example of class leading performance in the core areas of productivity, safety and operating cost. The facility annual run hours almost surpassed the industry aspirational target of 8000 hours per annum at an average throughput rate in excess of the facility nameplate capacity. Achievements in 2015 include: Lost Time Injury Frequency Rate: 0 Recordable Injury Frequency Rate: 0 All Injury Frequency Rate: 0 Run Hours: 7956 hours ROM Tonnes: Mt Average TPH: 1188 t/h Availability: 95.2% Currently operated coal facilities include Red Mountain CHPP, Sonoma CHPP, Middlemount CHPP and Curragh CHP. Metals facilities include Agnew Crushing and Screening (C&S), Mount Isa C&S and a mobile crushing circuit currently deployed at Groote Eylandt. Operations Consulting Sedgman has combined our engineering and operations knowledge, specifically in optimising facilities performance, with our technical capability to deliver an Operations Consulting service. We improve asset performance and assist clients to achieve maximum performance and ultimately reduce costs. Sedgman s Operations Consulting initiative is identifying a range of value add opportunities with new and existing clients. Operational Readiness Project Start Up Process Analysis Optimal Performance Maintenance Support Asset Lifecycle Operational Management Production Efficiency Increased Performance

7 Financials Income Statement Summary ($million) Consolidated Balance Sheet ($million) June 2015 June 2014 Revenue EBITDA before equity JV profits Depreciation ( 8.3 ) ( 13.2 ) Amortisation of intangibles ( 2.2 ) ( 3.1 ) EBIT before equity JV profits 19.0 ( 3.5 ) Sedgman share of investments EBIT after JV profits 21.6 ( 2.5 ) Net finance gains / (costs) Profit / (loss) before tax 22.8 ( 2.4 ) Income tax expense ( 6.3 ) ( 5.3 ) Reported profit / (loss) after tax 16.5 ( 7.7 ) Summary Cash Flows ($million) EBITDA Movement in working capital 19.9 ( 0.1 ) Net interest Income tax paid (net) ( 5.6 ) ( 2.0 ) Net operating cash flow Investment in joint ventures ( 1.1 ) Acquisition of other investments ( 0.5 ) ( 1.3) Net repayments of borrowings ( 19.2 ) ( 5.7 ) Net capital expenditure ( 2.5 ) ( 2.0 ) Free cash flow Opening cash at 1 July Effect of exchange rates on cash held 2.9 ( 1.3) Dividend payments ( 12.5 ) ( 4.9 ) Closing cash Working Capital Trade & other receivables Net construction work in progress ( 20.1 ) ( 3.3 ) Inventories Trade & other payables ( 57.7 ) ( 45.0 ) Net working capital Non-monetary balances and other non-current items Intangibles Property, plant & equipment Deferred taxes (net) Other assets Investments accounted for using the equity method Other liabilities ( 0.2 ) ( 0.2 ) Net non-monetary balances and other non-current items Cash and debt-like items Cash and cash equivalents Debt ( 2.2 ) ( 21.3 ) Provisions ( 12.6 ) ( 14.1 ) Current tax receivable / (payable) 1.6 ( 0.0 ) Net cash and debt-like items Net Assets ROUNDING EXISTS WITHIN THESE REPORTS The following disclaimer applies to this presentation and any information provided regarding the information contained in this presentation (the Information). You are advised to read this disclaimer carefully before reading or making any other use of this presentation or any information contained in this presentation. Except as required by law, no representation or warranty, express or implied, is made as the fairness, accuracy, completeness, reliability or correctness of the Information, opinions and conclusions, or as to the reasonableness of any assumption contained in this document. By receiving this document and to the extent permitted by law, you release Sedgman, and its officers, employees, agents and associates from any liability (including in respect of direct, indirect or consequential loss or damage or loss or damage arising by negligence) arising as a result of the reliance by you or any other person on anything contained in or omitted from this document. Statements contained in this material, particularly those regarding the possible or assumed future performance, costs, dividends, returns, production levels or rates, prices, reserves, potential growth of Sedgman, industry growth or other trend projections and any estimated company earnings are or may be forward looking statements. Such statements relate to future events and expectations and as such involve known and unknown risks and uncertainties, many of which are outside the control of, and are unknown to, Sedgman and its officers, employees, agents or associates. In particular, factors such as variable climatic conditions and regulatory decisions and processes may cause or may affect the future operating and financial performance of Sedgman. Actual results, performance or achievement may vary materially from any forward looking statements and the assumptions on which those statements are based. The Information also assumes the success of Sedgman s business strategies. The success of the strategies is subject to uncertainties and contingencies beyond Sedgman s control, and no assurance can be given that the anticipated benefits from the strategies will be realized in the periods for which forecasts have been prepared or otherwise. Given these uncertainties, you are cautioned to not place undue reliance on any such forward looking statements. Sedgman undertakes no obligation to revise the forward looking statements included in this presentation to reflect any future events or circumstances. In addition, Sedgman s results are reported under Australian International Financial Reporting Standards, or AIFRS. This presentation includes references to EBIT and NPAT. These references to EBIT and NPAT should not be viewed in isolation or considered as an indication of, or as an alternative to, measures reported in accordance with AIFRS or as an indicator of operating performance or as an alternative to cash flow as a measure of liquidity. The distribution of this Information in jurisdictions outside Australia may be restricted by law and you should observe any such restrictions. This Information does not constitute investment, legal, accounting, regulatory, taxation or other advice and the Information does not take into account your investment objectives or legal, accounting, regulatory, taxation or financial situation or particular needs. You are solely responsible for forming your own opinions and conclusions on such matters and the market and for making your own independent assessment of the Information. You are solely responsible for seeking independent professional advice in relation to the Information and any action taken on the basis of the Information. No responsibility or liability is accepted by Sedgman or any of its officers, employees, agents or associates, nor any other person, for any of the Information or for any action taken by you or any of your officers, employees, agents or associates on the basis of the Information.

For personal use only Head Office Global Offices Level 2 2 Gardner Close Milton Queensland 4064 Australia Brisbane Perth Townsville Gold Coast

8 For personal use only Head Office Global Offices Level 2 2 Gardner Close Milton Queensland 4064 Australia Brisbane Perth Townsville Gold Coast Newcastle Mackay T: E: mail@sedgman.com W: sedgman.com Americas Santiago Vancouver Africa Johannesburg Asia Shanghai Mongolia Global Minerals

FY2014 Full year results

FY2014 Full year results Peter Watson CEO I Managing Director Ian Poole Chief Financial Officer 28 August 2014 FY2014 year in review Resources capital expenditure conditions subdued Strong underlying result